Despite Wednesday's sell-off, First Solar could still form a base. SunPower is in worse shape. Its shares sliced the 50-day moving average in heavy trading, and the stock fell more than 8% from its 23.86 buy point. That gave its chart a couple of clear sell signals.

The chart action was even worse for SunEdison (SUNE). The stock crashed 24% and sliced its 50-day line. after it posted Q2 results that lagged expectations and management cut its guidance.

Much of the weakness is in SunEdison's semiconductor wafer business, and the company expects the solar segment to rebound in the second half of the year.

The industry group had shot up to the top of IBD's rankings as SunPower, SolarCity (SCTY), First Solar and a few other stocks doubled or more since the start of the year. Only automakers and retail electronics have done better.

But earnings and sales results have varied widely in the solar industry. Many of its 22 companies are posting quarterly losses .

Solar panel prices have plunged on a global glut and lower demand from Europe, Reuters reported.

Late Tuesday, First Solar announced Q2 results that missed the Street's consensus estimates. The company cited a project delay. The maker of solar panels cut its 2013 revenue guidance.

SolarCity posted an operating loss of 31 cents a share after Wednesday's close. Its shares tumbled after hours.

The year's third-best performing industry group has opened major cracks, as some solar-energy stocks hit sell signals or otherwise show stress.

Despite Wednesday's sell-off, First Solar could still form a base. SunPower is in worse shape. Its shares sliced the 50-day moving average in heavy trading, and the stock fell more than 8% from its 23.86 buy point. That gave its chart a couple of clear sell signals.

The chart action was even worse for SunEdison (SUNE). The stock crashed 24% and sliced its 50-day line. after it posted Q2 results that lagged expectations and management cut its guidance.

Much of the weakness is in SunEdison's semiconductor wafer business, and the company expects the solar segment to rebound in the second half of the year.

The industry group had shot up to the top of IBD's rankings as SunPower, SolarCity (SCTY), First Solar and a few other stocks doubled or more since the start of the year. Only automakers and retail electronics have done better.

But earnings and sales results have varied widely in the solar industry. Many of its 22 companies are posting quarterly losses .

Solar panel prices have plunged on a global glut and lower demand from Europe, Reuters reported.

Late Tuesday, First Solar announced Q2 results that missed the Street's consensus estimates. The company cited a project delay. The maker of solar panels cut its 2013 revenue guidance.

SolarCity posted an operating loss of 31 cents a share after Wednesday's close. Its shares tumbled after hours.

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The search giant made a 2nd investment in SolarCity (NASDAQ:SCTY), putting $300 mil into a $750 mil fund to power 25,000 residential solar projects, covering the upfront cost of panel installations for homeowners in 14 states. Google (NASDAQ:GOOGL), which invested $280 mil in a similar SolarCity ...

Google (NASDAQ:GOOGL) has made its second investment in SolarCity, putting $300 million into a $750 million fund to finance about 25,000 residential solar projects. The new fund will cover the upfront cost of solar panel installations for homeowners in 14 states, SolarCity (NASDAQ:SCTY) said. In ...

02/26/2015 01:08 PM ET

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